Software is already eating AI, HSBC says:

Analyst Stephen Bersey wrote that “software will be the primary mechanism for the diffusion of AI across the world’s largest enterprises,” adding that 2026 marks “the kick-off for monetization within software.”

HSBC believes foundation models are “inherently flawed” and unsuitable for “lift-and-replacement” of major enterprise platforms. 

While they may work for narrow uses such as image creation or small apps, the bank said this is “not realistic for the majority of high-fidelity enterprise class platforms.” 

Bersey added that vibe-coding places the burden of design on the developer, and that major AI model players have “little to no experience creating ‘enterprise class’ software,” meaning they would be starting from scratch in highly complex environments.

Spurce: investing.com/news/stoc…